Latest Ratios: P/E Ratio 27.1x · EV/EBITDA 12.9x · ROE 17.1%. (1998–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $20.7B | $18.5B | $20.1B | $14.6B | $11.9B | $12.9B | $13.0B | $10.5B | $7.8B | $11.3B | $7.9B |
| Enterprise Value | $24.5B | $22.3B | $22.2B | $17.1B | $14.3B | $15.0B | $14.8B | $12.6B | $10.0B | $13.7B | $10.4B |
| P/E Ratio → | 27.09 | 24.04 | 25.21 | 19.21 | 11.61 | 15.42 | 28.44 | 15.24 | 10.62 | 17.05 | 17.86 |
| P/S Ratio | 2.30 | 2.06 | 2.40 | 1.87 | 1.40 | 1.66 | 1.96 | 1.51 | 1.12 | 1.75 | 1.38 |
| P/B Ratio | 4.53 | 4.02 | 4.58 | 3.65 | 3.23 | 3.57 | 4.01 | 3.43 | 2.93 | 5.18 | 4.52 |
| P/FCF | 28.42 | 25.36 | 38.64 | 17.25 | 17.68 | 26.31 | 21.29 | 13.04 | 12.47 | 22.01 | 15.08 |
| P/OCF | 13.29 | 11.86 | 16.91 | 11.09 | 7.93 | 11.76 | 12.61 | 8.73 | 6.64 | 13.19 | 9.92 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.48 | 2.65 | 2.19 | 1.69 | 1.94 | 2.22 | 1.81 | 1.42 | 2.13 | 1.80 |
| EV / EBITDA | 12.86 | 11.69 | 13.67 | 10.74 | 7.63 | 8.81 | 11.81 | 8.74 | 6.75 | 10.37 | 9.09 |
| EV / EBIT | 19.55 | 20.16 | 20.11 | 16.03 | 9.98 | 11.88 | 20.36 | 12.04 | 9.36 | 14.74 | 13.25 |
| EV / FCF | — | 30.63 | 42.64 | 20.23 | 21.36 | 30.63 | 24.17 | 15.59 | 15.87 | 26.76 | 19.69 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 21.0% | 21.0% | 21.3% | 21.8% | 24.7% | 24.2% | 20.8% | 23.6% | 23.5% | 22.8% | 22.1% |
| Operating Margin | 14.0% | 14.0% | 13.1% | 13.8% | 16.8% | 16.6% | 12.6% | 15.1% | 15.2% | 14.5% | 13.6% |
| Net Profit Margin | 8.6% | 8.6% | 9.6% | 9.8% | 12.1% | 10.9% | 6.9% | 10.0% | 10.5% | 10.4% | 7.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.1% | 17.1% | 19.2% | 20.0% | 28.3% | 24.5% | 14.6% | 24.3% | 30.4% | 33.9% | 26.5% |
| ROA | 7.8% | 7.8% | 9.2% | 9.2% | 13.0% | 11.0% | 6.3% | 10.1% | 11.6% | 11.2% | 8.1% |
| ROIC | 12.6% | 12.6% | 12.7% | 12.7% | 18.0% | 17.9% | 12.5% | 15.9% | 17.0% | 15.9% | 14.8% |
| ROCE | 14.2% | 14.2% | 14.4% | 14.8% | 20.2% | 18.9% | 12.8% | 17.0% | 19.0% | 17.7% | 15.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.95 | 0.95 | 0.63 | 0.79 | 0.76 | 0.76 | 0.84 | 0.89 | 0.94 | 1.21 | 1.52 |
| Debt / EBITDA | 2.29 | 2.29 | 1.70 | 1.99 | 1.49 | 1.61 | 2.19 | 1.90 | 1.69 | 2.00 | 2.34 |
| Net Debt / Equity | — | 0.83 | 0.47 | 0.63 | 0.67 | 0.59 | 0.54 | 0.67 | 0.80 | 1.12 | 1.38 |
| Net Debt / EBITDA | 2.01 | 2.01 | 1.28 | 1.59 | 1.32 | 1.24 | 1.41 | 1.43 | 1.45 | 1.84 | 2.13 |
| Debt / FCF | — | 5.26 | 4.00 | 2.99 | 3.69 | 4.32 | 2.88 | 2.54 | 3.41 | 4.74 | 4.61 |
| Interest Coverage | 13.99 | 13.99 | 26.71 | 20.03 | 20.39 | 8.27 | 7.77 | 8.12 | 11.21 | 9.08 | 8.53 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.17 | 3.17 | 3.23 | 2.57 | 2.86 | 3.09 | 3.51 | 3.42 | 3.05 | 2.30 | 2.71 |
| Quick Ratio | 1.94 | 1.94 | 2.10 | 1.77 | 1.75 | 2.07 | 2.51 | 2.33 | 1.90 | 1.38 | 1.56 |
| Cash Ratio | 0.59 | 0.59 | 0.79 | 0.90 | 0.46 | 0.80 | 1.38 | 1.06 | 0.52 | 0.26 | 0.38 |
| Asset Turnover | — | 0.82 | 0.95 | 0.90 | 1.06 | 0.99 | 0.90 | 0.96 | 1.07 | 1.04 | 1.00 |
| Inventory Turnover | 5.71 | 5.71 | 5.87 | 6.02 | 6.54 | 6.49 | 6.69 | 6.70 | 6.75 | 6.52 | 6.22 |
| Days Sales Outstanding | — | 52.13 | 50.25 | 48.53 | 45.96 | 50.92 | 45.91 | 45.71 | 47.80 | 50.98 | 44.41 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.2% | 2.4% | 2.2% | 3.1% | 3.5% | 3.0% | 2.3% | 2.8% | 3.4% | 2.1% | 2.7% |
| Payout Ratio | 58.5% | 58.5% | 55.7% | 58.7% | 40.8% | 45.2% | 65.0% | 42.9% | 36.3% | 35.5% | 48.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.7% | 4.2% | 4.0% | 5.2% | 8.6% | 6.5% | 3.5% | 6.6% | 9.4% | 5.9% | 5.6% |
| FCF Yield | 3.5% | 3.9% | 2.6% | 5.8% | 5.7% | 3.8% | 4.7% | 7.7% | 8.0% | 4.5% | 6.6% |
| Buyback Yield | 0.7% | 0.8% | 0.1% | 0.4% | 4.5% | 1.6% | 0.1% | 0.1% | 0.1% | 0.1% | 1.4% |
| Total Shareholder Yield | 2.9% | 3.3% | 2.4% | 3.5% | 8.1% | 4.6% | 2.4% | 2.9% | 3.5% | 2.2% | 4.1% |
| Shares Outstanding | — | $90M | $90M | $90M | $93M | $95M | $94M | $94M | $94M | $94M | $94M |
Input Cost Volatility Exposure
According to current market data, PKG trades at a forward P/E of 23.34, which suggests investors are assigning a premium valuation relative to the broader containerboard sector, likely reflecting the company's superior vertical integration and consistent domestic focus compared to more globally exposed or less efficient industry peers.
The current PEG ratio of 2.33 indicates that the market is pricing in significant future growth expectations that may be difficult to sustain if commodity pricing remains stagnant. Investors should monitor whether this valuation premium holds as the company navigates the structural decline of its paper segment while attempting to expand its packaging footprint.
Based on reported financial figures, PKG's ROIC has trended between 2.3% and 3.8% over the last ten quarters, a range that suggests the company is struggling to generate returns on invested capital that consistently exceed its cost of capital in a capital-intensive manufacturing environment.
The persistent gap between ROIC and historical industry benchmarks warrants investigation into whether recent large-scale acquisitions are diluting overall capital efficiency. The company's reliance on heavy infrastructure investment appears to be a structural drag on return metrics, necessitating a focus on whether future capacity conversions can improve these figures.
As reported in recent financial statements, PKG's cash conversion cycle has remained relatively elevated, hovering around 88 days in 2026Q1, which indicates that the company's ability to optimize its inventory and receivables management is currently limited by the operational realities of its integrated mill-to-box manufacturing model.
The stability of the CCC suggests that management has limited room to extract further liquidity from its working capital without impacting customer service levels. Investors should watch for any divergence in DSO or DIO that might signal a weakening in pricing power or an accumulation of excess inventory in the distribution channel.
Based on the latest quarterly filings, PKG maintains a current ratio of 3.07, a figure that provides a substantial liquidity cushion and suggests the company is well-positioned to manage short-term obligations even during periods of significant operational downtime or unexpected spikes in raw material input costs.
This strong liquidity position appears to be a deliberate strategy to mitigate the risks associated with the company's high fixed-cost structure and lumpy maintenance schedules. While this provides safety, it may also imply that capital is being held in lower-yielding current assets rather than being deployed for higher-return growth initiatives.
The P/E ratio is frequently misapplied to PKG, as it obscures the significant impact of non-cash depreciation and lumpy maintenance-related expenses that characterize the company's capital-intensive operations, often leading to a distorted view of the firm's true underlying earnings power and cash-generating capacity through the cycle.
Analysts should prioritize EV/EBITDA or P/FCF metrics to better account for the company's capital structure and the heavy reinvestment requirements of its mill assets. Relying on P/E alone fails to capture the value of the company's vertical integration and its ability to generate cash flow that is often masked by accounting-heavy net income figures.
Includes 30+ ratios · 28 years · Updated daily
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Quick answers to the most common questions about buying PKG stock.
Packaging Corporation of America's current P/E ratio is 27.1x. The historical average is 19.8x. This places it at the 84th percentile of its historical range.
Packaging Corporation of America's current EV/EBITDA is 12.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.9x.
Packaging Corporation of America's return on equity (ROE) is 17.1%. The historical average is 19.8%.
Based on historical data, Packaging Corporation of America is trading at a P/E of 27.1x. This is at the 84th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Packaging Corporation of America's current dividend yield is 2.16% with a payout ratio of 58.5%.
Packaging Corporation of America has 21.0% gross margin and 14.0% operating margin. Operating margin between 10-20% is typical for established companies.
Packaging Corporation of America's Debt/EBITDA ratio is 2.3x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.